As marketers, we appreciate the advantages of a connected world, where brand messages can reach multitudes of audiences in seconds. But like every good thing, this hyperconnectedness and increasing awareness also make things riskier. One wrong move can derail years of branding efforts, not to forget its financial and reputational repercussions.
Earlier this year, Apple agreed to pay $250 million toward settling a lawsuit alleging customer deception. The company apparently promoted AI-enhanced Siri features that did not exist. Google is also facing a lawsuit in the UK over its abuse of online display advertising.
And it’s not only tech majors who are under increased scrutiny. Late last year, many customers took legal action against Burger King, accusing the company of inflating the size of its burgers on display boards.
The world is vulnerable to being deceived. However, people don’t hesitate to act against the perpetrators. Let’s spotlight three legal lessons that the advertising community should remember in these times. They go beyond just legal compliance on paper.
Don’t Overpromise When Not Backed by Data
Promising the moon is a long-standing failing of marketers. We may not do it on purpose, but it is tempting to oversell when the competition is stiff.
However, the modern consumer has access to in-depth information. Fake promises are easily revealed as untruths and splashed on social media. It is enough to taint your brand image for a long time, if not forever.
Moreover, making untrue promises is illegal as it equals consumer deception. The US Federal Trade Commission states that substantiating your advertising claims is crucial, whether you refer to scientific studies or peer-reviewed journals. It is vital that your claim not be broader than the substantiating facts.
Skechers paid a heavy price ($40 million) for making this mistake decades ago, when it promised that its toning shoes would support weight loss. You can imagine the consequences something like this would have today.
Doing The Right Thing is Always in Fashion
What happens if your advertising campaign backfires and lands in legal trouble? An instinctive flight response is to deny the allegations and launch a counterattack. Many brands have done this, regardless of the potential impact of continuing to mislead customers.
In 2014, Red Bull faced consumer agitation over its “gives you wings” advertisements. (After all, the drink failed to do that.) Although the firm eventually settled the lawsuit for several million dollars, it stuck to its defence of the product. Not enough discussion on whether the drink’s ingredients were healthy or even safe.
Branding experts weigh in that the company has eventually expanded this messaging through partnerships with the World Surf League and the Cliff Diving World Series.
Even so, nothing makes a greater impact than being open, transparent, and committed to doing the right thing for the customers. Coke has attempted this with Coke Zero, attempting to reach fitness-conscious audiences without falsely claiming that sugary drinks are healthy.
A sincere endeavor to honesty is even more crucial for companies in the healthcare sector, such as pharmaceuticals and medical devices. Zoll & Kranz, LLC notes that defective products can be considered negligence, which entitles the customer to financial compensation. For the accused, monetary considerations should not suppress regard for customer well-being. Not if the brand wishes to stay afloat.
Trust Your Judgment, But Run a Pulse Check
Sometimes, the best advertising lessons can come from early feedback and test groups. As a marketer, you may be too close to your content to see issues that may be glaring to others. A pulse check can help you address these problems before releasing the material and raising the stakes.
In May 2026, Reuters reported on a lawsuit filed by a teenager in the US whose picture was used in an advertisement for a dating company. She stated that it was without her consent and misrepresented her identity.
Imagine the feedback the firm might have received had it only bothered to test the waters. The issues would have been apparent, from a lack of consent to the misuse of an unrelated image for commercial gain.
Traditionally, companies relied on focus groups for feedback. Now, you have the option to seek help from AI to save time and potentially get more accurate results.
Recently, Coca-Cola utilized AI to enhance its Super Bowl ads and speed up the content creation process. Other legendary companies, such as Mondelēz, have also used the technology to test concepts. The possibilities are endless, from exploring various imagery to alternate endings for story-oriented ad films.
As always, balance is key, or you run the risk of falling for hallucinations that some AI tools are notorious for producing.
It’s a complex world out there. The gains from advertising can be immense, but the losses from legal missteps can be crushing for your brand.
Heeding these lessons in every campaign you roll out has become an essential safety measure. Let’s not see them as restrictions to creativity, but guardrails to stay ethical, customer-centric, and on the right side of the law.